Compute the expected return and standard deviation

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1. Following are four economic states, their likelihoods, and the potential returns: Fast growth .34 56%, slow growth.46 17% and Recession .12 with -12%, depression .08 with -45% Compute the expected return and standard deviation (do not round intermediate calculations and round your answsers to 2 decimal places.)

2. If a United States Savings bond can be purchased for $38.50, has a maturity value of $100, and the compounding annual rate of return on the bond is 4.15%, how long will it take the bond to be worth $100 (how many years to maturity)?

Reference no: EM131886532

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